Steve Daniels, a board member with Black Country Hippodrome, said: "I think it is important that everyone is clear about the scale of the challenge in bringing life back to a building of this scale, but we are approaching this with a positive attitude."

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Media captionDudley Hippodrome has been empty since 2009

The hippodrome was used as a theatre until 1964, when it became a bingo hall. Major acts such as Gracie Fields, George Formby and Laurel and Hardy were among the performers to entertain the crowds.

Dudley Metropolitan Borough Council, which bought the site in 2010, had planned to demolish the building in 2013 as part of a tourism plan, but a petition organised by The Friends of Dudley Hippodrome led to the decision being suspended.

The authority confirmed it is "pressing ahead" with plans to demolish the existing venue, but insisted this was only as a "fallback position" should the campaigners fail to find a viable use for the current building.

Council leader Pete Lowe said: "We have always maintained that we would look seriously at viable propositions for the building and it is clear that the current group has made significant strides forward in developing a plan for the site."

Image caption
Entertainer Gracie Fields performed at Dudley Hippodrome during World War Two